In-Depth Marketing Report: Situation Analysis of Listerine

This report provides a comprehensive marketing analysis of Listerine, a prominent brand in the oral hygiene sector. It begins by exploring Listerine's value proposition, dissecting the core benefits, basic product features, expected product attributes, augmented product advantages, and potential future developments. The analysis incorporates Kenichi Ohmae's model to evaluate the interplay between customers, the company, and competition in shaping Listerine's competitive edge. Furthermore, the report includes a SWOT analysis, identifying Listerine's strengths such as innovative packaging, high market significance, diverse benefits, effective marketing of halitosis, proficient testimonials, high revenue rate, and portability. Weaknesses include limited innovation, confused positioning, high promotion costs, and concerns regarding alcohol content. Opportunities lie in the growing consumer focus on wellbeing and price advantages. Threats include competition from established brands, changing consumer preferences, and potential regulatory challenges. The report concludes by highlighting Listerine's strategic positioning and potential for sustained market presence.

Running head: INTRODUCTION TO MARKETING
INTRODUCTION TO MARKETING
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INTRODUCTION TO MARKETING
Table of Contents
Listerine Value Proposition.............................................................................................................2
SWOT Analysis of Listerine...........................................................................................................6
Strengths......................................................................................................................................6
Weaknesses..................................................................................................................................8
Opportunities...............................................................................................................................9
Threats.......................................................................................................................................10
References......................................................................................................................................11

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Listerine Value Proposition
Listerine Mouthwash has been thriving in the pharmaceutical market for around 125
years and has been successfully sustaining its reputation as a brand for reducing bad breath.
Reports of Haerian-Ardakani et al. (2015)have revealed in the late 1990’s, the company has
made several attempts to successfully re-position its mouthwash product and thus engaged into
severe competition with other brands and maintained its authoritarian heritage. However, in the
view of Chow et al. (2017), Listerine required a crucial point of difference in order to capitalize
on the areas of shifting choices of customers. Meanwhile, reports of Haerian-Ardakani et al.
(2015) have also showed that Listerine strategically condensed gingivitis better then brushing
and flossing alone.
The Birth of the “Action Hero” has been identified as one of renowned proposition where the
brand has showed positioning Listerine, bottles into the ‘action hero’ segment of the video store
(Listerine Products, 2019). In addition to this, Al Habashneh et al. (2014) have mentioned that in
an over-the-top performance, an anthropomorphized Listerine battles the Evil Gingivitis received
over 32,000 responses from wide range of dentists as well as hygienists across Canada.
The value proposition of a product primarily comprises of all experiences customers tend
to encounter while purchasing or using the product. However, taking Listerine’s product line into
consideration, Chow et al. (2017) have identified five product levels, which constitute the
inclusive offering of the company.
Core Benefit- Al Habashneh et al. (2014) have found that individual buyers primarily use
Listerine Mouthwash in order to maintain healthy and clean mouth with refreshing breath. Thus,
the core benefit offered by Listerine has been identified as better oral hygiene.

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Basic Product- The basic product typically has been delivering the core advantage. However,
considering Listerine, the liquid mouthwash has been distinguished as the fundamental product,
which enablesusers in cleansing the mouth with any carbonated taste(Listerine Products, 2019).
Expected Product: Listerine clientele typically look forward tospecific elements when they
purchase a product based on the core benefit offered along with the competitors’
offerings. Freshness, safety and a clean breath have been efficiently offered as a vital part of the
expected product of Listerine(Listerine® Professional, 2019).
Augmented Product- Studies of Bagchi et al. (2015) have revealed that the augmented product
has typically developed based on the expected product, marketrivalryalong with the brand
positioning. Furthermore, augmented product has been playing as a differentiating factor among
the contending products. Moreover, the augmented product depending on which Listerine has
facilitated itself to identify its position based on successfully reducing germs, unique ingredients
that result in enduring freshness along with deeper effect in comparison to toothbrush(Haas et al.,
2014).

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Augmented Product
Source:(Listerine Products, 2019)
Potential Product- Studies of Manipal et al. (2016) have revealed that a potential product
essentially implies to the realm a product, which has the propensity to reach several significant
developments and improvements. Moreover, various attributes of a product, which can be further
developed, have been distinguished. Thus,the supposition of factors related to the product having
propensity to go on offers or discounts have been easily identified. The company further
hasobserved that while germ reduction or kill has been identified as probable solution to
numerous dental problems, still have been encountering issues from various oral diseases that
seemed to have no precautionary measures (Haerian-Ardakani et al., 2015). These areas of dental
problems have led Listerine to be striving not only as a product to maintain oral health but

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further as a product, which has been strategically offering personalized oral healthcare. The
company initiated its value proposition strategies by manufacturing several specialized variations
such asanti-plaque, anti-tartar, which comprised specific ingredients, based on the disease and
the stage of the disease, which young children and aged individuals have been suffering.
Alshehri (2018)has identified the ways in which Listerine’s value proposition connects
the relationship of the product to the price the customer. According to Kenichi Ohmae model,
there have been identified three factors related to consumers, competitors and company, which
have been highly decisive in offering a continual competitive advantage to Listerine(Amurjuev,
2018).
Customers-Haerian-Ardakani et al. (2015)have mentioned that the core benefit mainly offered
by has been determined following to the evaluation of the way buyers tend to experience after
the consumption of the mouthwash. Thus, it has distinguished as the demands of customers or
buyers who tend to leverage the prologue of the core profit. Furthermore, as per reports of
Manipal et al. (2016), the anticipated product primarily relies on outlook and ideas of buyers
related to Listerine’s core benefit along with the company and its competitors’ gains and
revenues.
Company- According to Alshehri (2018),Listerineafter deciding upon the core benefit, the
company has been aiming to strategize its basic product, which has the competence to deliver the
core benefit. The potential product of the company has been primarily influenced by what
Listerine perceives the potential outcomes of the industry and factors which can further be
developed related to the product and at what cost.

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Competition- The development of the basic product through comprehensive research based on
the present contribution of the competitors in the pharmaceutical market. Furthermore, Listerine
has observed competition, which tends to act influential to the augmented product based on
adding differentiating factors and communicating the same thus consolidating the product into a
set of values instead of a set of utilities(Bagchi et al., 2015).
SWOT Analysis of Listerine
Listerine has believed that the company has been successfully gaining a substantial
proportion of the market by significantly appealing to the hearts of company’s target audience.
Strengths
 Innovative Packaging Design-Listerine’s new and unaccompanied gustatory sensations
have been profoundly preferred by customers of varied age. Latest merchandise
expansion along with packaging blueprint has enabled the trade name value to increase
progressively, which greatly has stimulated the customers to buy this merchandise
(Alshehri, 2018).
 High Market Significance-Listerine gurgle has been containing thymol, menthol as well
as eucalyptus oil intoxicant along with methyl salicylate as well as other active elements.
Fu et al., (2014) have identified it as a vital function in the control of dental cavity,
plaque and gingivitis. Listerine gurgle has been offering remedies for dental pain relief
currently on the market. Its mouthwash mainly includes intoxicant, medical cogent
whereby it can go through 99.9 % of the traditional nation and sustained unrecorded
wellness (Listerine® Professional, 2019).

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 Diverse benefits of Listerine use- Listerine mouthwash timer primarily offers multiple
benefits to its consumers specifically removal of gingivitis, prevention of cavities, curing
halitosis, reducing tooth decay, strengthening teeth and most importantly enhancing fresh
breath as well as removing sensitivity of teeth and gums of all ages (Kapoor et al., 2016).
 Marketing of halitosis- According to Pekovic (2015), bad breath or halitosis has never
been considereda medical problem until Listerine has transformed it into one and further
strategically positioned its brand in order to acquire these areas of dental concerns.
Listerine’s product line represented issue of bad breath to be highly critical, related it
with confidence of people of all ages, and highlighted consumers with halitosis to be low
on self-possession in the commercials. These marketing strategies successfully facilitated
the company to enhance its brand value.
 Proficient testimonials- In addition to successful positioning, Listerine as a retail
product has put great determination to encourage dentists to whom the product has been
initially sited as a germ killer for teeth. These testimonials have positioned Listerine wide
range product line as a dental remedy, which almost all clinicians in western nations have
been considering useful to recommend to their patients(Listerine® Professional, 2019).
 High Revenue Rate and Growing Selling Schemes- Reports of Erawati, Rahardjo and
Pintauli(2014) have identified several gross revenues channels, such as retail outlets,
shopping boulevards as well as cyberspace along with supermarket has developed the
product into readily obtainable to diverse range of consumers. Listerine comprises greater
promotion strategies. However, regardless of the television promotion, the media make
the consumer responsiveness of Listerine’s mouthwash primarily through social media,
magazines and newspapers(Kapoor et al., 2016).

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 Portability- According to Alshehri (2018, as the product weighs 250 millilitre, Listerine
mouthwash has been identified to be relatively smaller in size and thus is highly portable
for customers to carry and use as per own convenience.
Weaknesses
 Limited opportunity for innovation- Haas et al. (2014)have identified very less
opportunities forListerine to make innovation in their product line. This factor has led the
product to call for greater innovative ingredients in order to acquire the required effect.
Although the company has put immense effort to introduce new variants in the market
especially for kids’ innovation has been restricted in the case of Listerine(Vernon, 2018).
 Confused positioning- Studies conducted by Bagchi et al. (2015) have stated that
Listerine has been initially positioned in the market as a medical treatment for bad breath
and tooth decay. Nevertheless as Johnson and Johnson strategized to penetrate itself into
the mass market and reposition themselves as an important retail product there where
minimum products available in pharmacies. These factors have lead consumers
choosingListerine to assume whether Listerine can be identified as a medicinal product or
a cosmetic product like toothpaste(Kapoor et al., 2016).
 High cost of promotion- Listerine in order to acquire greater competitive advantage in
the market than its competitors has strategized to shift itself as a lifestyle brand. These
factors have led to the brand to introduce new promotion strategies in the United States,
UK, Canada, China and India with the title “Bring out the Bold.”However, Pekovic,
(2015) has stated that such a promotion, strategy has been highly exclusive and the brand
has been unsuccessful in acquiring adequate revenues.

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Reports of Erawati, Rahardjo and Pintauli, (2014) have revealed that Listerine possibly
will seize to the hazard of unwritten malignant neoplastic disease. Even though the United
States National Cancer Institute (NCI) along with the American Dental Association (ADA)
contented that the antiseptic gurgle, which mainly comprises intoxicant, has been harmless
and is not a aspect, which results to accepted malignant neoplastic infections (Bagchi et al.,
2015). Moreover Van der Weijden et al. (2015) have stated that there can be identified
adequate reasons to illustrate that usage of alcohol containing gurgles have to propensity to
lend to accepted malignant neoplastic ailment.
 Particular proving spirit- The unique taste of Listerine gurgle contains a very strong
spirit. Even though techniques have been used in order to make it milder for consumers to
usewithout any hesitation. However,Vernon (2018) has identified three types flavour of
Listerine gurgle available in the pharmaceutical market, which includes sub-ice blue, cool
as well as original spirit, which may make consumers hesitant to use the product.
Moreover,according to Rahman et al. (2014) approximately 400 million bottles
containing Listerine gurgle with the spirit of agent cool blue have been taken into consideration
as its accepted preparation has been unable to cover with all the harmful microorganisms, which
have the tendency to jeopardize consumers with reduced immune systems.
Opportunities
 Strong sense of consumer wellbeing- The radical development of settling standard
consumers have been paying greater degree of inclination towards unwritten wellness.
Pekovic (2015) has stated that Listerine has an important purpose in the separation of
dental plaque and gingivitis in order to uphold the accepted wellness. Furthermore,the

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appropriate form of sense representation has been the contemporary religious chase with
afresh and good image of the breadth has been an important factor for all individuals.
Listerine mouthwash with its strong cooling agent has been able to satisfy its consumers
by making their breath fresh (Haas et al., 2014).
 Price advantage- Among Listerine strong competitors namely Colgate, Crest, Amway
the brand has been comparatively reasonable and economical. For example, financial
revenue of Listerine antiseptic mouthwash of 250 ml has been accounted to be over
$3.75. On the other hand, with another type of gurgle, which comprises similar
consequence known as Crest Pro Health mouthwash of 250 ml, has accounted to be
around $3.50(Van der Weijden et al., 2015).
 Listerine offering to public Welfare- Owners of Listerine have been highly committed
to serve for the welfare of their consumers and actively participate in public
assistance(Rahman et al., 2014).
Threats
 Increasing demand of organic products- In recent times, authors observed an
increasing demand for organic products even for dental problems. With the increasing
demand of organic toothpastes have given rise to unconstructive feedbacks regarding side
effects of chemicals in consumable items(Pekovic, 2015). Listerine being highly
chemical in composition has taken this as a serious threat. This growing demand for
organic products can pose severe impact on revenues of Listerine and weaken its market
position.

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References
Al Habashneh, R., Qubain, T. G., Alsalman, W., & Khader, Y. (2014). The effect of Listerine
mouthwash on dental plaque, gingival inflammation and C-reactive protein
(CRP). Dentistry, 4(1), 191-195.
Alshehri, F. A. (2018). The use of mouthwash containing essential oils (LISTERINE®) to
improve oral health: A systematic review. The Saudi dental journal, 30(1), 2-6.
Amurjuev, O. (2018). How to Evaluate Value Proposition. Problem As Inspiration: A Journal of
the York Entrepreneurship Development Institute, 1(1).
Bagchi, S., Saha, S., Jagannath, G. V., Reddy, V. K., & Sinha, P. (2015). Evaluation of efficacy
of a commercially available herbal mouthwash on dental plaque and gingivitis: A double-
blinded parallel randomized controlled trial. Journal of Indian Association of Public
Health Dentistry, 13(3), 222.
Chow, E. P., Howden, B. P., Walker, S., Lee, D., Bradshaw, C. S., Chen, M. Y., ... & Fairley, C.
K. (2017). Antiseptic mouthwash against pharyngeal Neisseria gonorrhoeae: a
randomised controlled trial and an in vitro study. Sex Transm Infect, 93(2), 88-93.
Erawati, S., Rahardjo, A., & Pintauli, S. (2014). Clinical efficacy of a new mouthwash
containing essential oil of cardamom in reducing volatile sulphur coumpounds
concentration. International Journal of Clinical Preventive Dentistry, 10(4), 237-242.